White Gold Project (Spot Case) PEA: C$2.90B NPV, 56% IRR
White Gold Corp.'s White Gold Project (Spot Case) in Yukon Territory, Canada has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of C$2.90B, an after-tax IRR of 56%, and initial capital of C$1.00B.
White Gold Corp.'s White Gold Project (Spot Case) has reported Preliminary Economic Assessment (PEA) results for the gold project in Yukon Territory, Canada. The study headlines an after-tax net present value of C$2.90B at a 5% discount rate. It reflects White Gold Corp.'s (WGO.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is C$2.90B using a 5% discount rate. After-tax IRR is 56%. Initial capital expenditure is estimated at C$1.00B. The study models a payback period of 1.2 years. Economics are based on Spot case US$4,500/oz gold.
These figures are extracted from White Gold Corp.'s technical disclosures and reflect the most recent PEA on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Our Analysis
- IRR after-tax
- 56%
higher than 73% of 107 projects we track
- NPV after-tax
- C$2.90B
higher than 94% of 143 projects we track
- Initial capex
- C$1.00B
35% of NPV
costlier than 91% of 141 projects we track
- Payback
- 1.2yrs
slower than 18% of 87 projects we track
- Discount rate
- 5%
- Study price assumption
- Spot case US$4,500/oz gold
- Spot gold today
- $4,478.90/oz
The financing question is the project. At roughly 1.9x the company’s entire US$385M market cap, the C$1.00B initial build cannot be quietly absorbed; it requires a cheque that only a strategic partner, a major lender, or significant equity dilution can write. The NPV sits about 5.5x the market cap, which cuts both ways: either the market has not priced in the asset’s potential, or it is discounting the very real risk that funding this build crushes existing holders through dilution. A small-cap with a diversified five-project portfolio has more options than a single-asset junior, but the arithmetic remains stark: this is a project that transforms the company’s capital structure before it transforms its production profile.
The economics are the supporting act, and they are strong enough to justify the effort. The 56% after-tax IRR ranks in the upper half of the 107 gold projects we track, and the 1.2-year payback is faster than 82% of peers. The after-tax NPV of C$2.90B ranks higher than 94% of the 143 projects we track, though that figure is flattered by a 5% discount rate, the low end of the reporting convention. Capital intensity is genuinely low at 35% of NPV, which helps the funding story, but the PEA stage is the caveat: scoping-level estimates carry a wide confidence band, and the capital cost could move meaningfully before a feasibility study lands.
Yukon is a mining-friendly jurisdiction, which lowers the political risk that often punishes projects in higher-risk regions, and the study’s spot case of US$4,500/oz sits just above today’s gold price of $4,478.90/oz, so returns are not built on a heroic price deck. The single question that decides this project is not whether the mine works, it is who writes the cheque and at what cost to current shareholders.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.